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London’s challenger stock market Aquis has accepted a £194m takeover provide from Swiss-based bourse operator SIX Group, in a switch which might likely inflame fears over the nicely being of the UK’s equity markets.
In an announcement to the market proper now, Aquis talked about the availability would price its shares at 727p per share, a 120 per cent premium to Friday’s closing price of 330p per share.
Directors on the St Paul’s primarily based bourse, which is twin listed by itself Apex market and the London Stock Exchange’s AIM, talked about the deal would help current the dimensions wished to compete in direction of bigger companies throughout the European alternate market.
“Under SIX’s ownership, Aquis will be better placed to deliver on its strategy of developing innovative capital market solutions from a position of further scale,” Aquis said.
SIX talked about the acquisition was a “compelling strategic opportunity” which might complement its approach to “scale the business beyond its home markets”.
“The combination will add Aquis’ strong offering to our traditional primary exchange and data businesses, complementing SIX’s existing growth listing segments,” Bjørn Sibbern, worldwide head of exchanges at SIX, talked about.
Alasdair Haynes, chief authorities of Aquis, talked about he was “immensely proud” of the enterprise which he primarily based in 2012.
Although he talked about there was a “clear path of growth ahead,” he talked about “operational, commercial and market risks” might pose a danger to the company throughout the transient time interval.
“The offer de-risks this future value creation and provides Aquis Shareholders with certain value at a material premium,” he added.
The suggestions degree to the downturn that has gripped the UK’s equity markets over the earlier two years after a dearth of latest IPOs and heavy outflows from equity funds.
Aquis has hosted solely two new floats this 12 months whereas 92 companies exited AIM throughout the 12 months to October, pushing the entire number of corporations to a 23-year low of 695.
The takeover of one in every of London’s stock markets by a abroad purchaser might also likely gasoline concern over a sell-off of listed corporations.
In the 12 months to the highest of June, 37 AIM-listed corporations have been acquired by overseas rivals and private equity companies, better than double the number of firms bought the sooner 12 months.
